Final answer:
A Settlement Statement details the buyer's closing costs and credits in a home purchase transaction. Escrow accounts simplify the management of homeowner's insurance and property taxes, integrating them into the monthly mortgage payment. The correct option is A.
Step-by-step explanation:
The itemization of the closing costs for which the buyer is responsible, and the credits they will receive, is known as a Settlement Statement. This document outlines the financial transactions and expenses involved in the purchase of a home, including the buyer's and seller's respective costs.
In addition to closing costs, another important concept in home buying is Escrow. An escrow account can be very convenient for managing home-related expenses. Instead of dealing with separate payments for homeowner's insurance and property taxes, the escrow account manages these for the homeowner as part of their normal monthly payment. This streamlines the financial management associated with owning a home, ensuring these important bills are paid on time.
Hence, Option A is correct.